Earnings Roundup: 6 Super Hot Stocks to Analyze After Earnings

Krispy Kreme Doughnuts Inc. (NYSE:KKD) reported net income above Wall Street’s expectations for the third quarter. Net income for Krispy Kreme Doughnuts Inc. rose to $4.7 million (7 cents per share) vs. $2.4 million (3 cents per share) in the same quarter a year earlier. This marks a rise of 97.4% from the year earlier quarter. Revenue rose 9.4% to $98.7 million from the year earlier quarter. KKD beat the mean analyst estimate of 6 cents per share. Analysts were expecting revenue of $99.3 million.

Chief Executive Officer James H. Morgan commented: “Our third quarter performance reflects continued progress in strengthening our financial condition and realizing our vision for the Krispy Kreme brand. We generated a healthy increase in revenues, recorded our twelfth consecutive quarter of positive same store sales at Company stores, and delivered substantial improvements in both profitability and operating cash flow. Despite economic headwinds and input cost challenges, we now project fiscal 2012 consolidated operating income, exclusive of impairment charges and lease termination costs, of $24 to $26 million, which would represent at least 25% growth over fiscal 2011.”

Competitors to Watch: Retail Food Group Limited (NYSE:RFG), Jamba, Inc. (NASDAQ:JMBA), Peet’s Coffee & Tea, Inc. (NASDAQ:PEET), Starbucks Corporation (NASDAQ:SBUX), Tim Hortons (NYSE:THI), Wendy’s (NYSE:WEN), McDonald’s (NYSE:MCD) and Panera Bread Company (NASDAQ:PNRA).

The Fresh Market Inc. (NASDAQ:TFM) reported its results for the third quarter. Fresh Market is a specialty food retailer. Net income for the grocery store rose to $9.2 million (19 cents per share) vs. $12.39 million (26 cents per share) in the same quarter a year earlier. This marks a decline of 26% from the year earlier quarter. Revenue rose 15.1% to $263.3 million from the year earlier quarter.

“We are excited to report another solid quarter of sales and earnings growth,” said Craig Carlock, President and Chief Executive Officer. “Our comparable store sales grew 5.5% in the quarter, making it both our best quarter of this fiscal year and our eighth consecutive quarter of comparable store sales growth of 4.0% or greater. We were also able to maintain our operating margin of 5.5% this quarter despite pressure from rising food and commodity costs and despite the additional costs incurred related to being a publicly-traded company. Additionally, on the real estate front, we opened one new store in the third quarter and we have opened one additional store to date in the fourth quarter.”

Competitors to Watch: Whole Foods Market, Inc. (NASDAQ:WFM), Safeway Inc. (NYSE:SWY), The Kroger Co. (NYSE:KR), Ruddick Corporation (NYSE:RDK), Ingles Markets, Inc. (NASDAQ:IMKTA), Winn-Dixie Stores, Inc. (NASDAQ:WINN), SUPERVALU INC. (NYSE:SVU), Weis Markets, Inc. (NYSE:WMK), Wal-Mart (NYSE:WMT), Target (NYSE:TGT) and Arden Group, Inc. (NASDAQ:ARDNA).

Guess Inc. (NYSE:GES) reported its results for the third quarter. Net income for Guess Inc. fell to $66.3 million (71 cents per share) vs. $69.1 million (75 cents per share) a year earlier. This is a decline of 4% from the year earlier quarter. Revenue rose 4.7% to $642.8 million from the year earlier quarter. GES fell short of the mean analyst estimate of 74 cents per share. Analysts were expecting revenue of $655.2 million.

Paul Marciano, Chief Executive Officer, commented, “We are pleased to deliver third quarter earnings consistent with our expectations, even as economic pressures have intensified and are affecting consumer confidence in many of our markets, particularly in Europe. During the quarter, we made good progress on many key strategic initiatives. Our efforts to elevate our brand in North America are yielding significant improvements in profitability. We enjoy momentum in Asia and the newer markets in Europe where our brand is well known but where our business is still under-penetrated. And we are focusing on sound execution, managing our inventories, expenses and capital prudently.”

Competitors to Watch: Liz Claiborne, Inc. (NYSE:LIZ), The Wet Seal, Inc. (NASDAQ:WTSLA), Express, Inc. (NYSE:EXPR), Destination Maternity Corp. (NASDAQ:DEST), The Cato Corporation (NYSE:CATO), bebe stores, inc. (NASDAQ:BEBE), Cache, Inc. (NASDAQ:CACH), Carter’s, Inc. (NYSE:CRI), The Talbots, Inc. (NYSE:TLB), and Ascena Retail Group Inc (NASDAQ:ASNA).

Tiffany & Co. (NYSE:TIF) reported net income above Wall Street’s expectations for the third quarter. Net income for Tiffany & Co. rose to $89.7 million (70 cents per share) vs. $55.1 million (43 cents per share) in the same quarter a year earlier. This marks a rise of 62.9% from the year earlier quarter. Revenue rose 20.5% to $821.8 million from the year earlier quarter. TIF beat the mean analyst estimate of 59 cents per share. It beat the average revenue estimate of $799.5 million.

Michael J. Kowalski, chairman and chief executive officer, said, “Increased sales in all regions contributed to the continuation of strong worldwide sales growth in the third quarter. We were also pleased to achieve an improved operating margin by leveraging the sales growth against fixed costs.”

Competitors to Watch: Zale Corporation (NYSE:ZLC), Blue Nile, Inc. (NASDAQ:NILE), DGSE Companies, Inc. (AMEX:DGSE), Coach, Inc. (NYSE:COH), Signet Jewelers (NYSE:SIG), Amazon.com (NASDAQ:AMZN), eBay (NASDAQ:EBAY), Nordstrom (NYSE:JWN) and Macy’s (NYSE:M).

American Eagle Outfitters Inc. (NYSE:AEO) reported its results for the third quarter. Net income for American Eagle Outfitters Inc. rose to $52.4 million (27 cents per share) vs. $33 million (17 cents per share) in the same quarter a year earlier. This marks a rise of 58.8% from the year earlier quarter. Revenue rose 10.7% to $831.8 million from the year earlier quarter. AEO fell in line with the mean analyst estimate of 27 cents per share.

Jim O’Donnell, chief executive officer, said, “I am encouraged by our progress in the third quarter and the continued momentum into the holiday season. Strong top line growth is evidence of the success of our key item strategy and merchandise improvements. Looking ahead to 2012, we have tremendous opportunity to capitalize on the strength of our brands and drive future profitable growth.”

Competitors to Watch: The Gap Inc. (NYSE:GPS), Abercrombie & Fitch Co. (NYSE:ANF), The Buckle, Inc. (NYSE:BKE), Aeropostale, Inc. (NYSE:ARO), Urban Outfitters, Inc. (NASDAQ:URBN), Zumiez Inc. (NASDAQ:ZUMZ), The Gymboree Corporation (GYMB), dELiA*s, Inc. (NASDAQ:DLIA) and Pacific Sunwear of California, Inc. (NASDAQ:PSUN).

Aeropostale Inc. (NYSE:ARO) reported its results for the third quarter. Net income for Aeropostale Inc. fell to $24.1 million (30 cents per share) vs. $58.5 million (63 cents per share) a year earlier. This is a decline of 58.8% from the year earlier quarter. Revenue fell 1% to $596.5 million from the year earlier quarter. ARO beat the mean analyst estimate of 27 cents per share. It beat the average revenue estimate of $576.4 million.

Thomas P. Johnson, Chief Executive Officer, commented, “We are making incremental progress on our strategic initiatives by bringing more color and fashion to our merchandise assortment, managing our inventories appropriately and controlling our expenses carefully. However, we are not satisfied with our overall performance, and we remain cautious in our outlook. The retail environment remains incredibly promotional with many teen retailers increasing both the depth and breadth of their promotions. Additionally, unemployment remains high and there is continued uncertainty about the overall economic environment. Near-term we are focused on executing our holiday initiatives and long-term we remain committed to improving our financial performance as well as investing in future growth.”

Competitors to Watch: Pacific Sunwear of California, Inc. (NASDAQ:PSUN), Zumiez Inc. (NASDAQ:ZUMZ), Abercrombie & Fitch Co. (NYSE:ANF), American Eagle Outfitters (NYSE:AEO), Express, Inc. (NYSE:EXPR), The Gap Inc. (NYSE:GPS), The Buckle, Inc. (NYSE:BKE), Body Central Acquisition Corp. (NASDAQ:BODY), The Wet Seal, Inc. (NASDAQ:WTSLA), and Casual Male Retail Group, Inc. (NASDAQ:CMRG).

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